Home
What's new
Latest activity
Authors
Store
Latest reviews
Search products
Forums
New posts
Search forums
What's new
New posts
New listings
New products
New profile posts
Latest activity
Members
Current visitors
New profile posts
Search profile posts
Log in
Register
Cart
Cart
Loading…
What's new
Search
Search
Search titles only
By:
New posts
Search forums
Search titles only
By:
Menu
Log in
Register
Navigation
Install the app
Install
More options
Change style
Contact us
Close Menu
Forums
SVTPerformance's Chain of Restaurants
Road Side Pub
BITCOIN
JavaScript is disabled. For a better experience, please enable JavaScript in your browser before proceeding.
You are using an out of date browser. It may not display this or other websites correctly.
You should upgrade or use an
alternative browser
.
Reply to thread
Message
<blockquote data-quote="Weather Man" data-source="post: 16723988" data-attributes="member: 137766"><p><h3><a href="https://seekingalpha.com/news/3792028-gemini-voyager-digital-face-sec-scrutiny-on-high-yield-crypto-products-bloomberg?source=content_type%3Areact%7Cfirst_level_url%3Amarket-news%7Csection_asset%3Amain" target="_blank">Gemini, Voyager Digital face SEC scrutiny on high-yield crypto products - Bloomberg</a></h3><p>Jan. 26, 2022 3:00 PM ET</p><p>While the crypto lending market continues to gain momentum, the U.S. Securities and Exchange Commission examines digital asset firms Gemini, Voyager Digital (<a href="https://seekingalpha.com/symbol/VYGVF" target="_blank">OTCQX:VYGVF</a>) and Celsius Network, to get a better grasp of its high-yielding product offerings, people familiar with the matter told <a href="https://www.bloomberg.com/news/articles/2022-01-26/crypto-lending-firms-celsius-network-gemini-face-sec-scrutiny" target="_blank">Bloomberg</a>.</p><p>Note that the rates that crypto lenders offer far outpace traditional bank savings accounts and other kinds of interest-bearing deposits - by lending out their digital tokens to other investors - a process that the SEC said raises concerns about investor protection, Bloomberg reports. Crypto lenders offer these high interest rates, usually through staking rewards, even in the wake of digital asset price weakness. Bitcoin (<a href="https://seekingalpha.com/symbol/BTC-USD" target="_blank">BTC-USD</a>) falls nearly -27% to $37.6K just in the past month and ethereum (<a href="https://seekingalpha.com/symbol/ETH-USD" target="_blank">ETH-USD</a>) -40% to sub $2.6K.</p><p>Moreover, the SEC's review focuses on whether these offerings should be registered as securities with the agency, the people told Bloomberg. These crypto firms offer rates on tokens of 3% to as high as 18%, while traditional depository institutions offer less than 0.1% in a savings account. The problem is that unlike bank deposits, the crypto accounts are not FDIC insured, meaning investors can lose their principal.</p><p>Furthermore, “We are one of many companies the SEC has reached out to regarding crypto yield products,” Bloomberg reports, citing Gemini Spokeswoman Carolyn Vadino in a statement. “We are cooperating voluntarily with this industry-wide inquiry,” She adds. Celsius Spokeswoman Bethany Davis says “we always have, and will continue to, work with regulators in the U.S. and globally to operate in full compliance with the law,” Bloomberg reports. And “it’s normal for financial services companies, digital asset related or otherwise, to be in ongoing dialog with regulators,” Voyager Spokesman Mike Legg said.</p><p>The SEC hasn't accused the firms of any wrongdoing, and not all agency queries lead to enforcement actions, an SEC spokeswoman told Bloomberg.</p><p></p><p>Earlier, Gemini's affiliate got FINRA approval to <a href="https://seekingalpha.com/news/3791960-gemini-affiliate-gets-finra-approval-to-operate-a-registered-broker-dealer" target="_blank">operate a registered broker-dealer</a>.</p></blockquote><p></p>
[QUOTE="Weather Man, post: 16723988, member: 137766"] [HEADING=2][URL='https://seekingalpha.com/news/3792028-gemini-voyager-digital-face-sec-scrutiny-on-high-yield-crypto-products-bloomberg?source=content_type%3Areact%7Cfirst_level_url%3Amarket-news%7Csection_asset%3Amain']Gemini, Voyager Digital face SEC scrutiny on high-yield crypto products - Bloomberg[/URL][/HEADING] Jan. 26, 2022 3:00 PM ET While the crypto lending market continues to gain momentum, the U.S. Securities and Exchange Commission examines digital asset firms Gemini, Voyager Digital ([URL='https://seekingalpha.com/symbol/VYGVF']OTCQX:VYGVF[/URL]) and Celsius Network, to get a better grasp of its high-yielding product offerings, people familiar with the matter told [URL='https://www.bloomberg.com/news/articles/2022-01-26/crypto-lending-firms-celsius-network-gemini-face-sec-scrutiny']Bloomberg[/URL]. Note that the rates that crypto lenders offer far outpace traditional bank savings accounts and other kinds of interest-bearing deposits - by lending out their digital tokens to other investors - a process that the SEC said raises concerns about investor protection, Bloomberg reports. Crypto lenders offer these high interest rates, usually through staking rewards, even in the wake of digital asset price weakness. Bitcoin ([URL='https://seekingalpha.com/symbol/BTC-USD']BTC-USD[/URL]) falls nearly -27% to $37.6K just in the past month and ethereum ([URL='https://seekingalpha.com/symbol/ETH-USD']ETH-USD[/URL]) -40% to sub $2.6K. Moreover, the SEC's review focuses on whether these offerings should be registered as securities with the agency, the people told Bloomberg. These crypto firms offer rates on tokens of 3% to as high as 18%, while traditional depository institutions offer less than 0.1% in a savings account. The problem is that unlike bank deposits, the crypto accounts are not FDIC insured, meaning investors can lose their principal. Furthermore, “We are one of many companies the SEC has reached out to regarding crypto yield products,” Bloomberg reports, citing Gemini Spokeswoman Carolyn Vadino in a statement. “We are cooperating voluntarily with this industry-wide inquiry,” She adds. Celsius Spokeswoman Bethany Davis says “we always have, and will continue to, work with regulators in the U.S. and globally to operate in full compliance with the law,” Bloomberg reports. And “it’s normal for financial services companies, digital asset related or otherwise, to be in ongoing dialog with regulators,” Voyager Spokesman Mike Legg said. The SEC hasn't accused the firms of any wrongdoing, and not all agency queries lead to enforcement actions, an SEC spokeswoman told Bloomberg. Earlier, Gemini's affiliate got FINRA approval to [URL='https://seekingalpha.com/news/3791960-gemini-affiliate-gets-finra-approval-to-operate-a-registered-broker-dealer']operate a registered broker-dealer[/URL]. [/QUOTE]
Insert quotes…
Verification
Post reply
Forums
SVTPerformance's Chain of Restaurants
Road Side Pub
BITCOIN
Top